The Renewable Fuels Association took a look at numbers from the Energy Information Administration and found ethanol production rose during the week ending May 8. Production grew 3.2 percent, or about 19,000 barrels per day, to 25.91 million gallons daily. 

That’s the highest production level the industry has reached in the last five weeks. Still, production does remain well below normal, down just over 41 percent from the same week last year. 

Ethanol stocks tightened by 5.6 percent to 24.2 million barrels, While the inventory level is high, that’s the lowest level of ethanol stocks since March 20. Every major ethanol-producing region saw its ethanol inventories decrease, except for the Rocky Mountains, where stocks went slightly higher. 

However, the number of total reserves is up just over eight percent higher than the same time in 2019. The volume of gasoline supplied to the U.S. market is an implied measure of ethanol demand, jumping 11 percent higher to just under 7.4 million gallons. 

While that is positive news, the demand number is still 19 percent lower than last year. Refiner/blender net inputs were up 11 percent higher, but still 30 percent below last year’s levels.

The Renewable Fuels Association took a look at numbers from the Energy Information Administration and found ethanol production rose during the week ending May 8. Production grew 3.2 percent, or about 19,000 barrels per day, to 25.91 million gallons daily. That’s the highest production level the industry has reached in the last five weeks. Still, production does remain well below normal, down just over 41 percent from the same week last year. Ethanol stocks tightened by 5.6 percent to 24.2 million barrels, While the inventory level is high, that’s the lowest level of ethanol stocks since March 20. Every major ethanol-producing region saw its ethanol inventories decrease, except for the Rocky Mountains, where stocks went slightly higher. However, the number of total reserves is up just over eight percent higher than the same time in 2019. The volume of gasoline supplied to the U.S. market is an implied measure of ethanol demand, jumping 11 percent higher to just under 7.4 million gallons. While that is positive news, the demand number is still 19 percent lower than last year. Refiner/blender net inputs were up 11 percent higher, but still 30 percent below last year’s levels.

Ethanol production shows slight rebound, tighter stocks

U.S. President Donald Trump appeared to admit there were likely challenges ahead for his trade deal with China. 

He says the magnitude of the coronavirus pandemic will far outweigh any positive effect the agreement may provide to the U.S. Politico says many analysts don’t expect China to meet the purchase target of $77 billion more in U.S. goods and services this year, compared to the 2017 baseline levels. 

“As I’ve said for a long time, dealing with China is a very expensive thing to do,” the president wrote on Twitter. “We had just made a great trade deal, the ink was barely dry, and the world was hit by a plague from China. 100 trade deals wouldn’t make up the difference – and all those innocent lives lost.” 

Still, there’s no early indicator that the president intends to pull out of the U.S.-China deal that was signed on January 15 or punish the Asian nation for falling short on implementation, such as imposing more tariffs on Chinese imports into the U.S.

U.S. President Donald Trump appeared to admit there were likely challenges ahead for his trade deal with China. He says the magnitude of the coronavirus pandemic will far outweigh any positive effect the agreement may provide to the U.S. Politico says many analysts don’t expect China to meet the purchase target of $77 billion more in U.S. goods and services this year, compared to the 2017 baseline levels. “As I’ve said for a long time, dealing with China is a very expensive thing to do,” the president wrote on Twitter. “We had just made a great trade deal, the ink was barely dry, and the world was hit by a plague from China. 100 trade deals wouldn’t make up the difference – and all those innocent lives lost.” Still, there’s no early indicator that the president intends to pull out of the U.S.-China deal that was signed on January 15 or punish the Asian nation for falling short on implementation, such as imposing more tariffs on Chinese imports into the U.S.

Trump acknowledges challenges with China trade deal

The Sustainable Food Policy Alliance wants the White House to prioritize COVID-19 testing for food and agriculture workers. The group sent the request in a letter to Vice President Mike Pence and Agriculture Secretary Sonny Perdue this week. 

The organization urges that food and agriculture workers, as part of an essential industry, be heightened in priority for expedited testing, personal protective equipment, and any other forthcoming treatment related to COVID-19. 

Members of the Alliance include Danone North America, Mars, Incorporated, Nestlé USA, and Unilever. The letter states that maintaining a strong and stable food supply chain depends on keeping food and agriculture workers, from farmers and ranchers to truckers to grocery store employees to food company employees, safe and healthy. 

The companies also highlighted the need for the federal government to work with states and local officials to ensure increased testing capacity for COVID-19 for agriculture and food supply chain workers.

The Sustainable Food Policy Alliance wants the White House to prioritize COVID-19 testing for food and agriculture workers. The group sent the request in a letter to Vice President Mike Pence and Agriculture Secretary Sonny Perdue this week. The organization urges that food and agriculture workers, as part of an essential industry, be heightened in priority for expedited testing, personal protective equipment, and any other forthcoming treatment related to COVID-19. Members of the Alliance include Danone North America, Mars, Incorporated, Nestlé USA, and Unilever. The letter states that maintaining a strong and stable food supply chain depends on keeping food and agriculture workers, from farmers and ranchers to truckers to grocery store employees to food company employees, safe and healthy. The companies also highlighted the need for the federal government to work with states and local officials to ensure increased testing capacity for COVID-19 for agriculture and food supply chain workers.

Group seeks priority COVID-19 testing for food and ag workers

A group of Senators this week introduced a bipartisan bill to increase transparency in cattle pricing. Led by Iowa Republican Senator Chuck Grassley, the legislation seeks to foster efficient markets while increasing competition and transparency among meatpackers who purchase livestock directly from independent producers. 

The bill will require that a minimum of 50 percent of a meat packer's weekly volume of beef slaughter be purchased on the open or spot market. Grassley first introduced the bill in 2002. 

After discovering a discrepancy between high grocery store shelf prices and simultaneous decreased cattle prices, Grassley re-introduced the legislation. The Senator says the bill will make systemic changes to the cattle industry to ensure longevity of independent producers, which will protect the U.S. beef supply. 

Joining Grassley on the bill are Senate Republican Joni Ernst of Iowa, Mike Rounds of South Dakota, Cindy Hyde-Smith of Mississippi and Steve Daines of Montana, Along with Democrats Jon Tester of Montana, and Tina Smith of Minnesota.

A group of Senators this week introduced a bipartisan bill to increase transparency in cattle pricing. Led by Iowa Republican Senator Chuck Grassley, the legislation seeks to foster efficient markets while increasing competition and transparency among meatpackers who purchase livestock directly from independent producers. The bill will require that a minimum of 50 percent of a meat packer's weekly volume of beef slaughter be purchased on the open or spot market. Grassley first introduced the bill in 2002. After discovering a discrepancy between high grocery store shelf prices and simultaneous decreased cattle prices, Grassley re-introduced the legislation. The Senator says the bill will make systemic changes to the cattle industry to ensure longevity of independent producers, which will protect the U.S. beef supply. Joining Grassley on the bill are Senate Republican Joni Ernst of Iowa, Mike Rounds of South Dakota, Cindy Hyde-Smith of Mississippi and Steve Daines of Montana, Along with Democrats Jon Tester of Montana, and Tina Smith of Minnesota.

Grassley, colleagues introduce bipartisan bill to increase transparency in cattle pricing

This week, House lawmakers introduced the Assistance and Gratitude for Coronavirus Heroes in Agribusiness who are Invaluable to the Nation or the AG CHAIN Act. 

The bill would provide a federal tax holiday and a payroll tax exemption for all essential employees in the food and agriculture industry defined by recent Department of Homeland Security guidance. 

The legislation is an extension of the previously introduced GROCER Act that would establish a federal tax holiday for grocery and convenience store employees. 

The provisions would take place from February 15, 2020, through June 15, 2020, for individuals making less than $75,000 annually. The bill would also provide discretion to the Treasury to extend this benefit for an additional three months. 

Pennsylvania Representatives, Republican Glenn GT Thompson and Democrat Dwight Evans, introduced the bill Tuesday.&nbsp; The National Grocers Association applauded the legislation in a statement, adding the bill “honors supermarket superheroes and will help boost the income of workers that show up for work every day.”

This week, House lawmakers introduced the Assistance and Gratitude for Coronavirus Heroes in Agribusiness who are Invaluable to the Nation or the AG CHAIN Act. The bill would provide a federal tax holiday and a payroll tax exemption for all essential employees in the food and agriculture industry defined by recent Department of Homeland Security guidance. The legislation is an extension of the previously introduced GROCER Act that would establish a federal tax holiday for grocery and convenience store employees. The provisions would take place from February 15, 2020, through June 15, 2020, for individuals making less than $75,000 annually. The bill would also provide discretion to the Treasury to extend this benefit for an additional three months. Pennsylvania Representatives, Republican Glenn GT Thompson and Democrat Dwight Evans, introduced the bill Tuesday.&nbsp; The National Grocers Association applauded the legislation in a statement, adding the bill “honors supermarket superheroes and will help boost the income of workers that show up for work every day.”

House bill would offer tax relief to food supply chain workers

Two-dozen senators recently sent a letter to the Environmental Protection Agency calling on the Trump Administration to reject calls to alter or get rid of the Renewable Fuels Standard. 

The letter says it is nothing but an oil industry-backed effort to get rid of biofuels. The senators wrote that waiving the RFS would exacerbate the effects experienced by the biofuel sector as a result of COVID-19, causing far-reaching detrimental impacts on employment, farmers, food security, fuel prices, and the environment. 

“We are grateful for our champions who stand shoulder-to-shoulder with rural communities confronting a wave of biofuel plant closures, farm bankruptcies, and demand destruction amid the COVID-19 pandemic,” says Growth Energy CEO Emily Skor. 

“The oil industry’s attempt to steal markets from farmers and biofuel producers threatens to dash hopes of an economic recovery in the farm belt.” Kurt Kovarik, Vice President of Federal Affairs at the National Biodiesel Board, says, “America’s biodiesel producers appreciate the strong leadership of the senators who oppose the efforts to undermine the RFS. Maintaining a strong RFS will be critical to the rural economy’s recovery.”

Two-dozen senators recently sent a letter to the Environmental Protection Agency calling on the Trump Administration to reject calls to alter or get rid of the Renewable Fuels Standard. The letter says it is nothing but an oil industry-backed effort to get rid of biofuels. The senators wrote that waiving the RFS would exacerbate the effects experienced by the biofuel sector as a result of COVID-19, causing far-reaching detrimental impacts on employment, farmers, food security, fuel prices, and the environment. “We are grateful for our champions who stand shoulder-to-shoulder with rural communities confronting a wave of biofuel plant closures, farm bankruptcies, and demand destruction amid the COVID-19 pandemic,” says Growth Energy CEO Emily Skor. “The oil industry’s attempt to steal markets from farmers and biofuel producers threatens to dash hopes of an economic recovery in the farm belt.” Kurt Kovarik, Vice President of Federal Affairs at the National Biodiesel Board, says, “America’s biodiesel producers appreciate the strong leadership of the senators who oppose the efforts to undermine the RFS. Maintaining a strong RFS will be critical to the rural economy’s recovery.”

Biofuel groups grateful for support in Washington, D.C.

The May World Ag Supply and Demand Estimates report predicts higher corn and soybean production compared to last year. The corn crop is projected to be a record 16 billion bushels, up from last year on the increased area and a return to trend yield. 

The yield projection is 178.5 bushels, with total corn supplies predicted at 18.1 billion bushels. The season-average farm price is projected at $3.20 a bushel, a 40-cent drop from last year and the lowest since 2006-07. 

The soybean crop is projected to be 4.125 billion bushels, up 568 million from last year. Yield is expected to be 49.8 bushels per acre. Soybean supplies are predicted to rise five percent from last year to 4.72 billion bushels. 

The season-average soybean price is projected at $8.20 a bushel, down 30 cents from the previous marketing year. USDA says total wheat production will be three percent lower than last year, coming in at 1.866 billion bushels, with the all-wheat yield at 49.5 bushels per acre, which is down 2.2 bushels from last year. 

The projected season-average farm price for wheat is $4.60 a bushel, unchanged from last year.

The May World Ag Supply and Demand Estimates report predicts higher corn and soybean production compared to last year. The corn crop is projected to be a record 16 billion bushels, up from last year on the increased area and a return to trend yield. The yield projection is 178.5 bushels, with total corn supplies predicted at 18.1 billion bushels. The season-average farm price is projected at $3.20 a bushel, a 40-cent drop from last year and the lowest since 2006-07. The soybean crop is projected to be 4.125 billion bushels, up 568 million from last year. Yield is expected to be 49.8 bushels per acre. Soybean supplies are predicted to rise five percent from last year to 4.72 billion bushels. The season-average soybean price is projected at $8.20 a bushel, down 30 cents from the previous marketing year. USDA says total wheat production will be three percent lower than last year, coming in at 1.866 billion bushels, with the all-wheat yield at 49.5 bushels per acre, which is down 2.2 bushels from last year. The projected season-average farm price for wheat is $4.60 a bushel, unchanged from last year.

WASDE report says corn, soybean production will rise in 2020

Biofuel and farm groups sent a letter this week to House Speaker Nancy Pelosi and Senate Majority Leader Mitch McConnell asking for ethanol and biodiesel help. 

The Hagstrom Report says they’re asking that financial relief for biofuels be included in the next coronavirus relief package. The letter was signed by many prominent groups, including the Renewable Fuels Association, Growth Energy, the National Biodiesel Board, and many others. 

“The situation we face is dire,” the groups say in the letter. “More than 130 biofuel plants have already partially or fully shut down as motor fuel demand plunged to 50-year lows. America’s biofuel plants annually purchase more than one-third of U.S. corn and U.S. soybean oil. 

The loss of those markets has depressed farm income and will continue to push corn and soybean prices down dramatically.” The groups point out that the economic damage has “rippled across the entire agricultural supply chain.” 

The letter also says that USDA excluded the biofuel sector from initial aid under the CARES Act, despite ongoing letters of support to Ag Secretary Sonny Perdue from broad, bipartisan coalitions in the House and Senate. “It’s vital that the next COVID-19 relief package includes immediate, temporary, and direct assistance for the biofuel industry,” they add.

Biofuel and farm groups sent a letter this week to House Speaker Nancy Pelosi and Senate Majority Leader Mitch McConnell asking for ethanol and biodiesel help. The Hagstrom Report says they’re asking that financial relief for biofuels be included in the next coronavirus relief package. The letter was signed by many prominent groups, including the Renewable Fuels Association, Growth Energy, the National Biodiesel Board, and many others. “The situation we face is dire,” the groups say in the letter. “More than 130 biofuel plants have already partially or fully shut down as motor fuel demand plunged to 50-year lows. America’s biofuel plants annually purchase more than one-third of U.S. corn and U.S. soybean oil. The loss of those markets has depressed farm income and will continue to push corn and soybean prices down dramatically.” The groups point out that the economic damage has “rippled across the entire agricultural supply chain.” The letter also says that USDA excluded the biofuel sector from initial aid under the CARES Act, despite ongoing letters of support to Ag Secretary Sonny Perdue from broad, bipartisan coalitions in the House and Senate. “It’s vital that the next COVID-19 relief package includes immediate, temporary, and direct assistance for the biofuel industry,” they add.

Biofuel groups ask Pelosi, McConnell for ethanol relief

Global Times, a Chinese state-owned media company, cites sources “close to the Chinese government” who say that China may want to redo the Phase One Trade Deal with the U.S. Politico says government advisers reportedly have said China should void the deal and renegotiate the four-month-old agreement with the U.S. so it’s more favorable for Beijing. 

“In fact, it’s in China’s interests to terminate the current phase one deal,” says an unnamed trade adviser quoted in the Times. “The U.S. now cannot afford to restart the trade war with China if everything goes back to square one.” 

However, U.S. President Donald Trump was asked about the report on Monday, saying that he wasn’t interested in renegotiating the trade deal, “not even a little.” The president said he’d heard those same reports that China would like to reopen trade talks with the U.S. and make it a better deal for them. “I’m not interested in that,” Trump says. 

“Let’s see if they live up to the deal they’ve signed.” Trade tensions have been climbing between the two nations as the Trump Administration accused Beijing of spreading misinformation about COVID-19 and failing to contain the virus.

Global Times, a Chinese state-owned media company, cites sources “close to the Chinese government” who say that China may want to redo the Phase One Trade Deal with the U.S. Politico says government advisers reportedly have said China should void the deal and renegotiate the four-month-old agreement with the U.S. so it’s more favorable for Beijing. “In fact, it’s in China’s interests to terminate the current phase one deal,” says an unnamed trade adviser quoted in the Times. “The U.S. now cannot afford to restart the trade war with China if everything goes back to square one.” However, U.S. President Donald Trump was asked about the report on Monday, saying that he wasn’t interested in renegotiating the trade deal, “not even a little.” The president said he’d heard those same reports that China would like to reopen trade talks with the U.S. and make it a better deal for them. “I’m not interested in that,” Trump says. “Let’s see if they live up to the deal they’ve signed.” Trade tensions have been climbing between the two nations as the Trump Administration accused Beijing of spreading misinformation about COVID-19 and failing to contain the virus.

Chinese questions on phase one trade deal

The Department of Agriculture last week approved $1.2 billion in contracts for the Farmers to Families Food Box Program. The program is designed to connect excess meat, dairy and produce on farms with families facing food insecurity. 

The funding far exceeds the $100 million per month the department initially planned for the program, due to high interest and need. The program will purchase $461 million in fresh fruits and vegetables, $317 million in dairy, $258 million in meat and $175 million in a combination box of fresh produce, dairy or meat products. 

The American Farm Bureau Federation and Feeding America, the country’s largest hunger relief organization, sent a letter to the USDA requesting a nimble approach to quickly and effectively get food from America’s farms to the nation’s food banks and others addressing food insecurity. 

USDA is authorized to spend up to $3 billion through the Coronavirus Food Assistance Program. These initial contracts will distribute food from May 15 through June 30, 2020.

The Department of Agriculture last week approved $1.2 billion in contracts for the Farmers to Families Food Box Program. The program is designed to connect excess meat, dairy and produce on farms with families facing food insecurity. The funding far exceeds the $100 million per month the department initially planned for the program, due to high interest and need. The program will purchase $461 million in fresh fruits and vegetables, $317 million in dairy, $258 million in meat and $175 million in a combination box of fresh produce, dairy or meat products. The American Farm Bureau Federation and Feeding America, the country’s largest hunger relief organization, sent a letter to the USDA requesting a nimble approach to quickly and effectively get food from America’s farms to the nation’s food banks and others addressing food insecurity. USDA is authorized to spend up to $3 billion through the Coronavirus Food Assistance Program. These initial contracts will distribute food from May 15 through June 30, 2020.

USDA approves $1.2 billion in food purchases to help America’s needy

Mayors from across the U.S. farm belt Monday condemned oil industry efforts to seize markets from farmers and biofuel producers under the Renewable Fuel Standard. In a letter to Environmental Protection Agency Administrator Andrew Wheeler, 70 mayors called on the agency to “reject unjustifiable RFS waiver requests and protect rural communities.”&nbsp; 

The letter says the closures of ethanol plants, “is having devastating ripple effects throughout our economy.” The mayors say waivers to the oil industry would further damage rural communities. 

The letter was offered in support for America's biofuel producers, who have seen demand evaporate during the COVID-19 pandemic. More than 70 biofuel plants have completely shuttered their doors, and another 70 have significantly cut production amid demand losses stemming from the COVID-19 pandemic. 

Growth Energy CEO Emily Skor adds that when biofuel production shuts down, "everyone hurts – from farmers and truckers to meatpackers and ranchers that need animal feed and carbon dioxide for refrigeration."

Mayors from across the U.S. farm belt Monday condemned oil industry efforts to seize markets from farmers and biofuel producers under the Renewable Fuel Standard. In a letter to Environmental Protection Agency Administrator Andrew Wheeler, 70 mayors called on the agency to “reject unjustifiable RFS waiver requests and protect rural communities.”&nbsp; The letter says the closures of ethanol plants, “is having devastating ripple effects throughout our economy.” The mayors say waivers to the oil industry would further damage rural communities. The letter was offered in support for America's biofuel producers, who have seen demand evaporate during the COVID-19 pandemic. More than 70 biofuel plants have completely shuttered their doors, and another 70 have significantly cut production amid demand losses stemming from the COVID-19 pandemic. Growth Energy CEO Emily Skor adds that when biofuel production shuts down, "everyone hurts – from farmers and truckers to meatpackers and ranchers that need animal feed and carbon dioxide for refrigeration."

Rural mayors urge EPA to protect Biofuel and farm jobs

A bipartisan group of lawmakers wants the Trump administration to provide guidance on how the Federal Emergency Management Agency can help farmers depopulate and dispose of livestock. 

Led by House Agriculture Committee Chairman Collin Peterson, a Democrat from Minnesota, the group sent a letter to the White House Friday. 

Specifically, the lawmakers request that the Administration allow for expenses related to livestock depopulation and disposal to be reimbursed under Category B of FEMA's Public Assistance program. 

A similar effort in the Senate led by Iowa Republican Chuck Grassley says farmers are facing an animal welfare crisis due to overcrowding and the challenge of providing enough feed and water to each animal. 

The Senate letter states pork producers send to market over two million pigs each week. If twenty percent of processing is idle, that means somewhere around 400,000 animals per week must be disposed of in some manner other than processing.

A bipartisan group of lawmakers wants the Trump administration to provide guidance on how the Federal Emergency Management Agency can help farmers depopulate and dispose of livestock. Led by House Agriculture Committee Chairman Collin Peterson, a Democrat from Minnesota, the group sent a letter to the White House Friday. Specifically, the lawmakers request that the Administration allow for expenses related to livestock depopulation and disposal to be reimbursed under Category B of FEMA's Public Assistance program. A similar effort in the Senate led by Iowa Republican Chuck Grassley says farmers are facing an animal welfare crisis due to overcrowding and the challenge of providing enough feed and water to each animal. The Senate letter states pork producers send to market over two million pigs each week. If twenty percent of processing is idle, that means somewhere around 400,000 animals per week must be disposed of in some manner other than processing.

Lawmakers seek help with livestock depopulation, disposal

Ag Secretary Sonny Perdue says meatpacking facilities across the U.S. will be reopening this week. He says the companies are opening up again “safely” and are a critical part of the nation’s infrastructure. 

These facilities have resumed or plan to resume operations this week following an Executive Order from President Trump directing the facilities to implement the Centers for Disease Control and Prevention and the Occupational Health and Safety Administration guidelines specifically created for the meat and poultry sector response to COVID-19. 

The USDA has been working around the clock with the CDC and state and local health officials to ensure a safe and stable supply of protein is available for American consumers while keeping packing company employees safe. 

“America’s meatpacking facilities are reopening safely to ensure that America’s producers and ranchers will be able to bring their product to market,” Perdue says. “I want to thank the patriotic and heroic meatpacking facility workers who are returning to work this week so the millions of Americans who depend on them for food security can continue to do so.” 

Plant locations in Iowa, Kentucky, Maine, Washington, Nebraska, Wisconsin, Minnesota, South Dakota, and Illinois are slated to get back to work this week.

Ag Secretary Sonny Perdue says meatpacking facilities across the U.S. will be reopening this week. He says the companies are opening up again “safely” and are a critical part of the nation’s infrastructure. These facilities have resumed or plan to resume operations this week following an Executive Order from President Trump directing the facilities to implement the Centers for Disease Control and Prevention and the Occupational Health and Safety Administration guidelines specifically created for the meat and poultry sector response to COVID-19. The USDA has been working around the clock with the CDC and state and local health officials to ensure a safe and stable supply of protein is available for American consumers while keeping packing company employees safe. “America’s meatpacking facilities are reopening safely to ensure that America’s producers and ranchers will be able to bring their product to market,” Perdue says. “I want to thank the patriotic and heroic meatpacking facility workers who are returning to work this week so the millions of Americans who depend on them for food security can continue to do so.” Plant locations in Iowa, Kentucky, Maine, Washington, Nebraska, Wisconsin, Minnesota, South Dakota, and Illinois are slated to get back to work this week.

Multiple meatpackers will reopen this week

The USDA says Chinese buyers purchased 686,000 metric tons of U.S. corn last week. Over 370,000 tons will be delivered in the 2019-2020 marketing year, with the rest going overseas in 2020-2021. 

This seems to suggest that China is following through on its obligations in the Phase One trade deal. In a statement to Agri-Pulse last week, the U.S. Grains Council says, “China’s recent purchases of U.S. corn place the country back in the top five markets for U.S. corn, which is promising news for American farmers during this critical time. 

China has been a strong customer for U.S. corn, sorghum, DDGs, and ethanol in past years.” USGC is hopeful that Chinese customers will continue finding a lot of value in U.S. coarse grains and related products in the years to come. 

The purchase of 315,000 tons announced last Thursday was especially large, almost triple the export sales for 2020-2021 corn in the entire week of April 24-30. That was 97,500 tons to buyers mostly located in Japan and Panama. Bryan Lohmar is the China Director for the USGC. 

He says, “We’ve already seen exports greater than the past few years, and China typically buys the most corn during summer months when its own supplies get tighter and domestic prices firm up.” China’s corn-buying began back in March with a purchase of 756,000 tons, reported on the same day the Asian nation bought 340,000 tons of U.S. wheat.

The USDA says Chinese buyers purchased 686,000 metric tons of U.S. corn last week. Over 370,000 tons will be delivered in the 2019-2020 marketing year, with the rest going overseas in 2020-2021. This seems to suggest that China is following through on its obligations in the Phase One trade deal. In a statement to Agri-Pulse last week, the U.S. Grains Council says, “China’s recent purchases of U.S. corn place the country back in the top five markets for U.S. corn, which is promising news for American farmers during this critical time. China has been a strong customer for U.S. corn, sorghum, DDGs, and ethanol in past years.” USGC is hopeful that Chinese customers will continue finding a lot of value in U.S. coarse grains and related products in the years to come. The purchase of 315,000 tons announced last Thursday was especially large, almost triple the export sales for 2020-2021 corn in the entire week of April 24-30. That was 97,500 tons to buyers mostly located in Japan and Panama. Bryan Lohmar is the China Director for the USGC. He says, “We’ve already seen exports greater than the past few years, and China typically buys the most corn during summer months when its own supplies get tighter and domestic prices firm up.” China’s corn-buying began back in March with a purchase of 756,000 tons, reported on the same day the Asian nation bought 340,000 tons of U.S. wheat.

China purchases U.S. corn

The National Biodiesel Board is pleased that the Department of Commerce will keep countervailing duty orders on imports of Argentinian biodiesel. The Commerce Department made the determination after its “changed circumstances review” of the anti-dumping duty. 

The department determined that there are no “changed circumstances” that would warrant any changes in U.S. duty rates. That means the rates on imported biodiesel from Argentina will stay at their current levels. 

Kurt Kovarik is the NBB Vice President of Federal Affairs, who says the NBB’s Fair Trade Commission fought hard for this outcome. “We certainly appreciate Secretary Wilbur Ross and the administration for supporting U.S. biodiesel producers at a critical moment. 

We are also grateful that they took the time to listen to U.S. biodiesel producers.” The NBB says the Department of Commerce took the time necessary to fully evaluate the status of Argentina’s export tax regime and made the right decision. 

“Also critical to the outcome is the support and leadership of Senators Chuck Grassley and Maria Cantwell, along with Representative Darren LaHood,” Kovarik adds. “The U.S. biodiesel industry appreciates their help in amplifying the industry’s push for fair trade conditions.”

The National Biodiesel Board is pleased that the Department of Commerce will keep countervailing duty orders on imports of Argentinian biodiesel. The Commerce Department made the determination after its “changed circumstances review” of the anti-dumping duty. The department determined that there are no “changed circumstances” that would warrant any changes in U.S. duty rates. That means the rates on imported biodiesel from Argentina will stay at their current levels. Kurt Kovarik is the NBB Vice President of Federal Affairs, who says the NBB’s Fair Trade Commission fought hard for this outcome. “We certainly appreciate Secretary Wilbur Ross and the administration for supporting U.S. biodiesel producers at a critical moment. We are also grateful that they took the time to listen to U.S. biodiesel producers.” The NBB says the Department of Commerce took the time necessary to fully evaluate the status of Argentina’s export tax regime and made the right decision. “Also critical to the outcome is the support and leadership of Senators Chuck Grassley and Maria Cantwell, along with Representative Darren LaHood,” Kovarik adds. “The U.S. biodiesel industry appreciates their help in amplifying the industry’s push for fair trade conditions.”

Duties to stay on biodiesel from Argentina

Top negotiators from China and the U.S. will talk next week about the progress on the Phase One Trade Deal between the two countries. Bloomberg says the move comes after President Donald Trump threatened to terminate the agreement if Beijing doesn’t meet its obligations. 

The planned phone call will be the first time the Chinese Vice Premier and U.S. Trade Representative Robert Lighthizer will talk about the agreement since it was signed in January. That was just before COVID-19 hit the world’s two largest economies and turned the world’s global supply chains upside down. 

Trade numbers this week showed a sharp drop in U.S. exports to China when compared to the 2017 benchmark levels, which in turn caused doubt that Beijing would meet its obligation to buy at least $262 billion in U.S. agriculture, manufacturing, and energy goods. Beijing hasn’t yet removed many of its dumping duties on U.S. imports. 

Trump recently told reporters that he’d be able to tell them within the next two weeks if he’s happy with how the trade deal is progressing. Relations have been strained since the coronavirus outbreak. 

Trump says China misled the world about the scope and risk of the disease. China says U.S. officials are trying to “shift their responsibility for the poor handling of the disease.”

Top negotiators from China and the U.S. will talk next week about the progress on the Phase One Trade Deal between the two countries. Bloomberg says the move comes after President Donald Trump threatened to terminate the agreement if Beijing doesn’t meet its obligations. The planned phone call will be the first time the Chinese Vice Premier and U.S. Trade Representative Robert Lighthizer will talk about the agreement since it was signed in January. That was just before COVID-19 hit the world’s two largest economies and turned the world’s global supply chains upside down. Trade numbers this week showed a sharp drop in U.S. exports to China when compared to the 2017 benchmark levels, which in turn caused doubt that Beijing would meet its obligation to buy at least $262 billion in U.S. agriculture, manufacturing, and energy goods. Beijing hasn’t yet removed many of its dumping duties on U.S. imports. Trump recently told reporters that he’d be able to tell them within the next two weeks if he’s happy with how the trade deal is progressing. Relations have been strained since the coronavirus outbreak. Trump says China misled the world about the scope and risk of the disease. China says U.S. officials are trying to “shift their responsibility for the poor handling of the disease.”

Trump: will know next week if China making progress on phase one deal

Spurred on by record production, U.S. pork exports completed a tremendous first quarter with new March records for both volume and value. Data released by USDA and compiled by the U.S. Meat Export Federation says beef exports also trended higher year-over-year in March, establishing a record first-quarter pace. 

“March export results were very solid, especially given the COVID-19 related challenges facing customers in many international markets right now,” says USMEF President and CEO Dan Halstrom. 

“Stay-at-home orders created enormous challenges for many countries’ foodservice sectors, several of the world’s key currencies slumped against the dollar, and logistical obstacles surfaced in some key markets. However, demand for U.S. red meat proved very resilient.” 

Recent events like temporary plant closures aren’t reflected in the first-quarter export data. Pork exports, driven by strong demand from China, Hong Kong, Mexico, Japan, and Canada, totaled well over 291,000 metric tons, a 38 percent increase from last year. 

The export value was up to more than $764 million. March beef exports were over 115,300 metric tons, seven percent more than last year, while the value was more than $702 million, four percent higher than 2019.

Spurred on by record production, U.S. pork exports completed a tremendous first quarter with new March records for both volume and value. Data released by USDA and compiled by the U.S. Meat Export Federation says beef exports also trended higher year-over-year in March, establishing a record first-quarter pace. “March export results were very solid, especially given the COVID-19 related challenges facing customers in many international markets right now,” says USMEF President and CEO Dan Halstrom. “Stay-at-home orders created enormous challenges for many countries’ foodservice sectors, several of the world’s key currencies slumped against the dollar, and logistical obstacles surfaced in some key markets. However, demand for U.S. red meat proved very resilient.” Recent events like temporary plant closures aren’t reflected in the first-quarter export data. Pork exports, driven by strong demand from China, Hong Kong, Mexico, Japan, and Canada, totaled well over 291,000 metric tons, a 38 percent increase from last year. The export value was up to more than $764 million. March beef exports were over 115,300 metric tons, seven percent more than last year, while the value was more than $702 million, four percent higher than 2019.

Pork exports hit all-time high in March

New legislation introduced in the Senate addresses disruptions in the food supply chain caused by the coronavirus pandemic and directly connect farms to food banks. 

The bill was introduced this week by Senator Kirsten Gillibrand, a Democrat from New York, who also sits on the Senate Agriculture Committee. As foodservice entities cease operations to combat the COVID-19 pandemic, reports have emerged that millions of pounds of produce have been left to rot. 

Meanwhile, food banks across the country are facing unprecedented demand, as millions of newly unemployed Americans now face food insecurity. Senator Gillibrand's proposed Food Bank Access to Farm Fresh Produce Act would provide $8 billion in block grants to food banks in the top vegetable and fruit producing states. 

Food banks will be able to use the funds to purchase fresh produce directly from farmers. They will also be able to use the funding to pay for distribution, processing, and additional staff needed to meet increased demand.&nbsp;&nbsp;

New legislation introduced in the Senate addresses disruptions in the food supply chain caused by the coronavirus pandemic and directly connect farms to food banks. The bill was introduced this week by Senator Kirsten Gillibrand, a Democrat from New York, who also sits on the Senate Agriculture Committee. As foodservice entities cease operations to combat the COVID-19 pandemic, reports have emerged that millions of pounds of produce have been left to rot. Meanwhile, food banks across the country are facing unprecedented demand, as millions of newly unemployed Americans now face food insecurity. Senator Gillibrand's proposed Food Bank Access to Farm Fresh Produce Act would provide $8 billion in block grants to food banks in the top vegetable and fruit producing states. Food banks will be able to use the funds to purchase fresh produce directly from farmers. They will also be able to use the funding to pay for distribution, processing, and additional staff needed to meet increased demand.&nbsp;&nbsp;

Gillibrand introduces bill to connect farms and food banks

The reduction of meat processing capacity caused by U.S. plant closures and slowdowns has created a massive bottleneck in the nation's meat and livestock supply chain. 

Nearly two dozen plants that process beef and pork products closed in April due to the COVID-19 outbreak, while many others have had to slow their production as a result of the disease. 

According to a new report from CoBank, even if the reduction of processing capacity is temporary, it will likely have a lasting impact on meat processors, livestock producers, retail stores and consumers. 

Meat supplies for retail grocery stores could shrink nearly 30 percent by Memorial Day, leading to retail pork and beef price increases as high as 20 percent relative to prices last year. 

This week, Midwest-based grocery chain Hy-Vee announced limits on customer purchases of meat products. Customers are limited to four packages of a combination of fresh beef, ground beef, pork and chicken when they checkout at all store locations. Costco announced similar limits earlier this week, as did Sam’s Club.

The reduction of meat processing capacity caused by U.S. plant closures and slowdowns has created a massive bottleneck in the nation's meat and livestock supply chain. Nearly two dozen plants that process beef and pork products closed in April due to the COVID-19 outbreak, while many others have had to slow their production as a result of the disease. According to a new report from CoBank, even if the reduction of processing capacity is temporary, it will likely have a lasting impact on meat processors, livestock producers, retail stores and consumers. Meat supplies for retail grocery stores could shrink nearly 30 percent by Memorial Day, leading to retail pork and beef price increases as high as 20 percent relative to prices last year. This week, Midwest-based grocery chain Hy-Vee announced limits on customer purchases of meat products. Customers are limited to four packages of a combination of fresh beef, ground beef, pork and chicken when they checkout at all store locations. Costco announced similar limits earlier this week, as did Sam’s Club.

Meat plant closures tightening supplies

Agriculture Secretary Sonny Perdue this week sent two letters to Governors across the nation and leadership of major meat processing companies regarding the reopening of meat processing facilities. 

The letters establish the Department of Agriculture's expectations for the implementation of President Donald Trump's Executive Order signed last week. 

The President's Executive order directs plants to follow the Centers for Disease Control and the Occupational Safety and Health Administration guidance specific to the meat processing industry to keep facilities open while maintaining worker safety. 

USDA expects state and local officials to work with meat-processing facilities to maintain operational status while protecting their employees' health. 

USDA has also directed meat and poultry processing plants currently closed and without a clear timetable for near-term reopening to submit to USDA written documentation of their protocol, developed based on the CDC/OSHA guidance, and resume operations as soon as they are able after implementing the guidance.

Agriculture Secretary Sonny Perdue this week sent two letters to Governors across the nation and leadership of major meat processing companies regarding the reopening of meat processing facilities. The letters establish the Department of Agriculture's expectations for the implementation of President Donald Trump's Executive Order signed last week. The President's Executive order directs plants to follow the Centers for Disease Control and the Occupational Safety and Health Administration guidance specific to the meat processing industry to keep facilities open while maintaining worker safety. USDA expects state and local officials to work with meat-processing facilities to maintain operational status while protecting their employees' health. USDA has also directed meat and poultry processing plants currently closed and without a clear timetable for near-term reopening to submit to USDA written documentation of their protocol, developed based on the CDC/OSHA guidance, and resume operations as soon as they are able after implementing the guidance.

Perdue releases letters on meatpacking investigation

The Department of Agriculture this week announced details of the $470 million in Section 32 food purchases to occur in the third quarter of fiscal year 2020 in addition to purchases previously announced. 

The purchases will provide additional support for producers and Americans in need, in response to changing market conditions caused by the COVID-19 national emergency. Agriculture Secretary Sonny Perdue says, "USDA is in the unique position to purchase these foods and deliver them to the hungry Americans who need it most." 

The Agricultural Marketing Service will purchase a variety of fruits, vegetables, meat, dairy and seafood products. The purchases include $30 million of chicken products, $120 million of dairy products and $30 million of pork. 

Additionally, USDA will purchase $50 million of potatoes, another $50 million of turkey products, and $30 million of catfish products, among others. Purchases are determined by industry requests, market analysis and food bank needs. AMS will begin issuing solicitations in June and intends to begin deliveries in July.

The Department of Agriculture this week announced details of the $470 million in Section 32 food purchases to occur in the third quarter of fiscal year 2020 in addition to purchases previously announced. The purchases will provide additional support for producers and Americans in need, in response to changing market conditions caused by the COVID-19 national emergency. Agriculture Secretary Sonny Perdue says, "USDA is in the unique position to purchase these foods and deliver them to the hungry Americans who need it most." The Agricultural Marketing Service will purchase a variety of fruits, vegetables, meat, dairy and seafood products. The purchases include $30 million of chicken products, $120 million of dairy products and $30 million of pork. Additionally, USDA will purchase $50 million of potatoes, another $50 million of turkey products, and $30 million of catfish products, among others. Purchases are determined by industry requests, market analysis and food bank needs. AMS will begin issuing solicitations in June and intends to begin deliveries in July.

USDA announces commodity purchasing plans

A feeding initiative in partnership with the Department of Agriculture will now serve nearly five million meals per week to rural children impacted by COVID-19-related school closures – five times its original goal.&nbsp; 

The partnership between USDA and Baylor University, along with McLane Global and PepsiCo, initially aimed to deliver nearly one million meals per week to students eligible for free and reduced-price meals in a limited number of rural schools closed due to COVID-19. 

However, the Meals To You initiative, “has been so successful and faced such high demand,” that USDA decided to expand the program, according to Agriculture Secretary Sonny Perdue. 

Meals to You boxes contain 20 nutritious meals, ten breakfasts and ten lunches, to cover the meals children would normally receive at school over two school weeks. 

Foods contained in the boxes meet USDA’s Summer Food Service Program meal standards and may include items like milk, fruit cups, cereal, whole-grain crackers, and chili. Boxes are delivered directly to children’s doorsteps.

A feeding initiative in partnership with the Department of Agriculture will now serve nearly five million meals per week to rural children impacted by COVID-19-related school closures – five times its original goal.&nbsp; The partnership between USDA and Baylor University, along with McLane Global and PepsiCo, initially aimed to deliver nearly one million meals per week to students eligible for free and reduced-price meals in a limited number of rural schools closed due to COVID-19. However, the Meals To You initiative, “has been so successful and faced such high demand,” that USDA decided to expand the program, according to Agriculture Secretary Sonny Perdue. Meals to You boxes contain 20 nutritious meals, ten breakfasts and ten lunches, to cover the meals children would normally receive at school over two school weeks. Foods contained in the boxes meet USDA’s Summer Food Service Program meal standards and may include items like milk, fruit cups, cereal, whole-grain crackers, and chili. Boxes are delivered directly to children’s doorsteps.

Public-private partnership serving 5 million meals a week

Commodity price declines, supply-chain disruptions, and coronavirus concerns pushed the Purdue University/CME Group Ag Economy Barometer down to a three-year low in April. 

The barometer recorded a reading of 96, marking the first time the barometer has fallen below 100 since October 2016, and was 72 points below its record high just two-months prior. The Ag Economy Barometer is based on responses from 400 U.S. agricultural producers and this month's survey was conducted from April 19-24, 2020. 

Producers' expectations for current and future agricultural economic conditions also declined sharply. The Index of Current Conditions suffered its largest one-month drop, down 39 points in April to a reading of 72, and the Index of Future Expectations fell 18 points to a reading of 108. 

In the April survey, two-thirds of respondents indicated they were "very worried" or "fairly worried about the impact of coronavirus on their farm's profitability. More than half said they anticipate applying for one of the federal government's COVID-19 related financial assistance programs.

Commodity price declines, supply-chain disruptions, and coronavirus concerns pushed the Purdue University/CME Group Ag Economy Barometer down to a three-year low in April. The barometer recorded a reading of 96, marking the first time the barometer has fallen below 100 since October 2016, and was 72 points below its record high just two-months prior. The Ag Economy Barometer is based on responses from 400 U.S. agricultural producers and this month's survey was conducted from April 19-24, 2020. Producers' expectations for current and future agricultural economic conditions also declined sharply. The Index of Current Conditions suffered its largest one-month drop, down 39 points in April to a reading of 72, and the Index of Future Expectations fell 18 points to a reading of 108. In the April survey, two-thirds of respondents indicated they were "very worried" or "fairly worried about the impact of coronavirus on their farm's profitability. More than half said they anticipate applying for one of the federal government's COVID-19 related financial assistance programs.

Ag economy barometer reaches three-year low

A bipartisan group of U.S. Representatives urges the Department of Agriculture to provide findings of its beef pricing investigation as soon as possible. Following the announcement of the USDA's Packers and Stockyard Division investigation in August of 2019. 

Secretary Sonny Perdue extended USDA's investigation last month to determine the causes of divergence between live beef and box prices during the COVID-19 pandemic. Beginning in the first few weeks of the coronavirus crisis, cattlemen saw prices drastically decline, with cattle futures falling 29 percent between January and April, while beef prices increased in stores. 

The lawmakers, including Oklahoma Republican Frank Lucas, say, “When market participants begin to believe that markets are not competitive or transparent, that suspicion has a dangerous industry-wide ripple effect." 

The lawmakers say producers want effective, market-based risk management tools. However, volatility during the pandemic has made market participation difficult to manage and capital intensive. Lucas added, "As a policymaker and a lifelong cattleman, restoring faith in our markets is my top priority.”

A bipartisan group of U.S. Representatives urges the Department of Agriculture to provide findings of its beef pricing investigation as soon as possible. Following the announcement of the USDA's Packers and Stockyard Division investigation in August of 2019. Secretary Sonny Perdue extended USDA's investigation last month to determine the causes of divergence between live beef and box prices during the COVID-19 pandemic. Beginning in the first few weeks of the coronavirus crisis, cattlemen saw prices drastically decline, with cattle futures falling 29 percent between January and April, while beef prices increased in stores. The lawmakers, including Oklahoma Republican Frank Lucas, say, “When market participants begin to believe that markets are not competitive or transparent, that suspicion has a dangerous industry-wide ripple effect." The lawmakers say producers want effective, market-based risk management tools. However, volatility during the pandemic has made market participation difficult to manage and capital intensive. Lucas added, "As a policymaker and a lifelong cattleman, restoring faith in our markets is my top priority.”

Lawmakers seek quick investigation of beef industry

The Department of Agriculture Monday announced $100 million in competitive grants for activities designed to expand the availability and sale of renewable fuels. 

The Higher Blends Infrastructure Incentive Program offers funding for competitive grants or sales incentives to eligible entities for activities designed to expand the sales and use of ethanol and biodiesel fuels. 

Funds will be made directly available to assist transportation fueling and biodiesel distribution facilities with converting to higher ethanol and biodiesel blends by sharing the costs related to and offering sales incentives for the installation of fuel pumps, related equipment, and infrastructure. 

Agriculture Secretary Perdue says the grants to expand biofuels availability “will help increase their use during our economic resurgence,” following the impacts of decreased demand during the COVID-19 pandemic. 

USDA plans to make available approximately $86 million for implementation activities related to higher blends of fuel ethanol, and approximately $14 million for implementation activities related to higher blends of biodiesel.

The Department of Agriculture Monday announced $100 million in competitive grants for activities designed to expand the availability and sale of renewable fuels. The Higher Blends Infrastructure Incentive Program offers funding for competitive grants or sales incentives to eligible entities for activities designed to expand the sales and use of ethanol and biodiesel fuels. Funds will be made directly available to assist transportation fueling and biodiesel distribution facilities with converting to higher ethanol and biodiesel blends by sharing the costs related to and offering sales incentives for the installation of fuel pumps, related equipment, and infrastructure. Agriculture Secretary Perdue says the grants to expand biofuels availability “will help increase their use during our economic resurgence,” following the impacts of decreased demand during the COVID-19 pandemic. USDA plans to make available approximately $86 million for implementation activities related to higher blends of fuel ethanol, and approximately $14 million for implementation activities related to higher blends of biodiesel.